Petrol, diesel prices: India to hold crude oil prices for now despite West Asia conflict and Hormuz tensions
Top officials said that the government has no immediate plans to increase retail fuel prices, despite international market pressures. Oil marketing companies are absorbing the additional cost burden for now.
- Mar 10, 2026,
- Updated Mar 10, 2026 6:05 PM IST
The question of whether petrol and diesel prices will rise in India amid the ongoing Middle East crisis has become prominent following recent adjustments in Liquefied Petroleum Gas (LPG) cylinder prices. Uncertainty in the region, particularly Iran's restrictions on oil supplies from the Strait of Hormuz due to conflict with Israel, has caused global crude oil prices to surge beyond $100 per barrel.
Despite these pressures, top government sources confirmed on Monday that there will be no immediate hike in petrol and diesel prices. This move aims to shield Indian consumers from volatile international markets, even as domestic LPG prices were recently increased by Rs 60 and the LPG booking period was extended from 21 to 25 days.
Top officials told news agency Press Trust of India that the government has no immediate plans to increase retail fuel prices, despite international market pressures. Oil marketing companies are absorbing the additional cost burden for now. This reflects a commitment to stabilise essential fuel prices in the face of global supply constraints, prioritising consumer protection during heightened geopolitical tension.
Union Minister for Petroleum and Natural Gas Hardeep Singh Puri addressed public concerns about potential shortages or energy insecurity. He stated on social media: “There is no shortage of energy in India and there is no cause of worry for our energy consumers.” These remarks reassure the public about the steady supply of fuel and the government's preparedness to manage supply-related challenges.
The Ministry of Petroleum and Natural Gas outlined its strategy to counteract disruptions in global fuel supply and ensure the availability of LPG. The Ministry said: “In light of current geopolitical disruptions to fuel supply and constraints on supply of LPG, the Ministry has issued orders to oil refineries for higher LPG production and using such extra production for domestic LPG use.” This directive aims to bolster domestic supplies and protect vulnerable sectors from sudden shortages.
Fuel prices in India
Fuel prices in India are revised daily by state-run oil marketing companies based on global crude oil rates and currency movements. The three companies responsible for fuel pricing and distribution are Indian Oil Corporation (IOC), Bharat Petroleum Corporation Ltd (BPCL), and Hindustan Petroleum Corporation Ltd (HPCL).
Despite volatility in global crude markets, retail petrol and diesel prices in India have remained largely stable in recent years. Prices have seen limited changes since May 2022, when the Centre and several states cut excise duty and VAT to ease inflation pressures.
On March 10, prices in most cities remained unchanged. In Delhi, petrol was ₹94.77 per litre and diesel ₹87.67. Mumbai petrol stood at ₹103.50 and diesel at ₹90.03, while Hyderabad had the highest petrol price among metros at ₹107.46.
Patna and Ahmedabad saw small increases, while Lucknow recorded a slight decline. Prices in Bengaluru, Chennai, Pune and Thane moved only marginally, reflecting continued stability in retail fuel rates.
What OMCs said
Indian Oil Corporation, a leading state-run oil marketing company, echoed the government’s stance. India Oil said: “In light of current geopolitical disruptions affecting global fuel supply, steps have been taken to enhance LPG production and prioritise its availability for domestic consumers and essential non-domestic sectors such as hospitals and educational institutions. Requests from other non-domestic sectors will be reviewed by a committee of Executive Directors from Oil Marketing Companies and prioritised based on merit, necessity and product availability.”
Hindustan Petroleum Corporation Limited has also confirmed it is intensifying efforts to increase LPG production and prioritise supply to domestic consumers, alongside crucial non-domestic sectors like hospitals and educational establishments. These actions ensure that critical services continue uninterrupted, even as global supply chains encounter strain from regional instability.
Essential Commodities Act
To secure essential fuel supplies, the central government has invoked the Essential Commodities Act (EC Act), a legislative tool that designates certain goods as essential and enables regulatory oversight. The Act, administered by the Department of Consumer Affairs, currently lists seven commodities as essential, including fuel products. This framework allows the government to remove unnecessary barriers to the movement of goods and promote consumer interest, particularly during periods of global disruption.
Officials reiterate that the government is closely monitoring the international oil market and stands ready to respond to further changes if necessary. For now, oil marketing companies are absorbing the cost impact of rising crude oil prices while the government continues to seek stability and uninterrupted fuel supplies for all consumer segments.
The question of whether petrol and diesel prices will rise in India amid the ongoing Middle East crisis has become prominent following recent adjustments in Liquefied Petroleum Gas (LPG) cylinder prices. Uncertainty in the region, particularly Iran's restrictions on oil supplies from the Strait of Hormuz due to conflict with Israel, has caused global crude oil prices to surge beyond $100 per barrel.
Despite these pressures, top government sources confirmed on Monday that there will be no immediate hike in petrol and diesel prices. This move aims to shield Indian consumers from volatile international markets, even as domestic LPG prices were recently increased by Rs 60 and the LPG booking period was extended from 21 to 25 days.
Top officials told news agency Press Trust of India that the government has no immediate plans to increase retail fuel prices, despite international market pressures. Oil marketing companies are absorbing the additional cost burden for now. This reflects a commitment to stabilise essential fuel prices in the face of global supply constraints, prioritising consumer protection during heightened geopolitical tension.
Union Minister for Petroleum and Natural Gas Hardeep Singh Puri addressed public concerns about potential shortages or energy insecurity. He stated on social media: “There is no shortage of energy in India and there is no cause of worry for our energy consumers.” These remarks reassure the public about the steady supply of fuel and the government's preparedness to manage supply-related challenges.
The Ministry of Petroleum and Natural Gas outlined its strategy to counteract disruptions in global fuel supply and ensure the availability of LPG. The Ministry said: “In light of current geopolitical disruptions to fuel supply and constraints on supply of LPG, the Ministry has issued orders to oil refineries for higher LPG production and using such extra production for domestic LPG use.” This directive aims to bolster domestic supplies and protect vulnerable sectors from sudden shortages.
Fuel prices in India
Fuel prices in India are revised daily by state-run oil marketing companies based on global crude oil rates and currency movements. The three companies responsible for fuel pricing and distribution are Indian Oil Corporation (IOC), Bharat Petroleum Corporation Ltd (BPCL), and Hindustan Petroleum Corporation Ltd (HPCL).
Despite volatility in global crude markets, retail petrol and diesel prices in India have remained largely stable in recent years. Prices have seen limited changes since May 2022, when the Centre and several states cut excise duty and VAT to ease inflation pressures.
On March 10, prices in most cities remained unchanged. In Delhi, petrol was ₹94.77 per litre and diesel ₹87.67. Mumbai petrol stood at ₹103.50 and diesel at ₹90.03, while Hyderabad had the highest petrol price among metros at ₹107.46.
Patna and Ahmedabad saw small increases, while Lucknow recorded a slight decline. Prices in Bengaluru, Chennai, Pune and Thane moved only marginally, reflecting continued stability in retail fuel rates.
What OMCs said
Indian Oil Corporation, a leading state-run oil marketing company, echoed the government’s stance. India Oil said: “In light of current geopolitical disruptions affecting global fuel supply, steps have been taken to enhance LPG production and prioritise its availability for domestic consumers and essential non-domestic sectors such as hospitals and educational institutions. Requests from other non-domestic sectors will be reviewed by a committee of Executive Directors from Oil Marketing Companies and prioritised based on merit, necessity and product availability.”
Hindustan Petroleum Corporation Limited has also confirmed it is intensifying efforts to increase LPG production and prioritise supply to domestic consumers, alongside crucial non-domestic sectors like hospitals and educational establishments. These actions ensure that critical services continue uninterrupted, even as global supply chains encounter strain from regional instability.
Essential Commodities Act
To secure essential fuel supplies, the central government has invoked the Essential Commodities Act (EC Act), a legislative tool that designates certain goods as essential and enables regulatory oversight. The Act, administered by the Department of Consumer Affairs, currently lists seven commodities as essential, including fuel products. This framework allows the government to remove unnecessary barriers to the movement of goods and promote consumer interest, particularly during periods of global disruption.
Officials reiterate that the government is closely monitoring the international oil market and stands ready to respond to further changes if necessary. For now, oil marketing companies are absorbing the cost impact of rising crude oil prices while the government continues to seek stability and uninterrupted fuel supplies for all consumer segments.